If you are engaged in business in New Mexico, you must file a New Mexico tax return and pay gross receipts tax for the privilege of doing business in New Mexico.

The tax is imposed on the gross receipts of persons who:

sell property in New Mexico; property includes real property, tangible personal property, including electricity and manufactured homes, licenses (other than the licenses of copyrights, trademarks or patents) and franchises.

perform services in New Mexico; service includes construction and all construction materials that will become part of the construction project.

lease or license property employed in New Mexico

grant a right to use a franchise employed in New Mexico

sell research and development services performed outside New Mexico when the product of the service is initially used in New Mexico